HIVE Blockchain Systems aims to provide a connection between cryptocurrency markets and conventional capital marketplaces. WHO’S Heading Up the Task? HIVE’s CEO is Harry Pokrandt. Pokrandt previously served as managing director of Macquarie Capital Markets Canada from 1985 to 2015 and managing director of Espresso Capital from 2015 to 2017. He describes himself being an early believer and investor in Bitcoin who began his crypto mining career in their own home.
Let’s Start
HIVE’s chairman is Frank Holmes, who serves as CEO and chief investment officer of mutual fund and asset management firm U.S. Global Investors. The company’s other directors include co-founder Olivier Roussy Newton, somebody at quantum computing, financial technology, and bioinformatics firm Latent Capital; and Bjoern Arzt, a managing partner at blockchain and cryptocurrency investment fund Logos Fund.
Genesis Mining
Genesis was founded in 2013 by Bitcoin investors to mine cryptocurrencies with specialized hardware. HIVE was co-founded by Genesis and acts as its publicly held wing and largest shareholder. This is actually the primary divider between your two organizations. Genesis permits leasing of its mining resources to third parties, while HIVE can be an independent operator with some management operations supervised by Genesis. Genesis gives crypto miners the various tools to mine coins independently in trade for leasing fees. HIVE mines coins with respect to its shareholders.
HIVE signed a letter of intent with Genesis in June 2017, where HIVE would get a 2-megawatt mining facility in trade for US$9 million and a 30 % stake in the business. The transaction closed in September, exactly the same month where HIVE opened its second facility in Iceland.
HIVE and Traditional Investors
Instead of diving straight into crypto mining with all the current equipment and technological capital investment costs that entails, an investor can buy publicly traded shares in HIVE to obtain a chance at profits without directly encountering the highly volatile cryptocurrency market. This gives a layer of insulation between investors and the cryptocurrency market most importantly. In the company’s FAQ, HIVE represents itself as knowledgeable intermediary and buffer.
“To put it simply, HIVE is really a cryptocurrency mining firm,” the business wrote. Each day, which it could monetize for revenue and cashflow. ”
Is Anyone Else Achieving This?
HIVE describes itself because the first publicly traded blockchain mining company. Although it theoretically is in competition with the legions of individual cryptocurrency miners in homes and smaller businesses, its partnership with the world’s largest miner – Genesis – puts it in a good position to accrue shareholder value. Your choice to list HIVE on the Toronto STOCK MARKET underscores that first-mover status, the business said.
“It offers equity shareholders a way to getting contact with the crypto world by way of a traditional investment vehicle, “The administrative centre markets have very few choices for investors to take part in the sector, and HIVE offers a unique opportunity to achieve this. ”
HIVE is listed on the Toronto STOCK MARKET under the ticker HIVE. By May 2, HIVE stocks were trading at about US$1.08 per share. HIVE has a market cap of US$332.18 million with 253.3 million shares either issued or outstanding.
In the fourth quarter of 2017, HIVE generated 3.27 million in revenue. Its net profit for the time was $221,078.
What Coins Does HIVE Mine?
Currently, monero, and Zcash. But other altcoins certainly are a possibility, bitcoin mining is really a distant possibility,
” the business said. have become excited about the prospect of the Ethereum project.”
Where Is HIVE located?
HIVE operates its flagship mining operations in Reykjanes, Iceland. Iceland was selected for the original GPU mining facility because of its abundant, inexpensive, and green thermal power. Iceland can be relatively cold year-round, providing a good environment for heat-sensitive mining equipment. The business also operates GPU mining facilities operate in Sweden.
Managing Its Mined Coins
HIVE stores its coins in designated digital wallets. The business is considering additional security measures to lessen the possibility of hacks, in addition to insurance because of its assets. HIVE estimates that its hardware will not incur additional capital expenditures for at the very least four to five years, predicated on legacy Genesis assets. For already mined coins, the business is creating a tiered liquidation strategy “… as a ratio of future forecasted expenses, while holding the rest as inventory to reap the benefits of price appreciation/volatility,” the business said.
What Does HIVE Intend to Do Next?
Growing HIVE’s market presence may be the company’s chief priority, by means of developing partnerships and strengthening its developer team. Security management is next on the list. Even though company believes it already has first-rate security and risk management processes set up, you can find always opportunities for improvement in the rapidly developing crypto sphere. Lastly, HIVE is poised for growth via both acquisitions and organic growth in its core mining business.